AASB 2011-8 - Amendments to Australian Accounting Standards arising from AASB 13 - September 2011
86AParagraph AG64 is amended (new text is underlined and deleted text is struck through) as follows:
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86A Paragraph AG64 is amended (new text is underlined and deleted text is struck through) as follows:
AG64 The fair value of a financial instrument on initial recognition is normally the transaction price (i.e. the fair value of the consideration given or received, see also AASB 13 and paragraph AG76). However, if part of the consideration given or received is for something other than the financial instrument, an entity shall measure the fair value of the financial instrument is estimated, using a valuation technique (see paragraphs AG74–AG79). For example, the fair value of a long-term loan or receivable that carries no interest can be estimated measured as the present value of all future cash receipts discounted using the prevailing market rate(s) of interest for a similar instrument …